Pakistan’s cement industry recorded a significant decline in production during the 2024-25 financial year, reflecting broader weakness across the Large-Scale Manufacturing (LSM) sector. According to the Pakistan Bureau of Statistics (PBS), overall LSM output contracted by 0.74 per cent compared to the previous year.
While LSM posted a 4.14 per cent YoY increase in June 2025, output fell 3.67 per cent MoM. Cement production was among the key laggards, dropping 7.23 per cent to 2.90Mt in June and 4.52 per cent YoY across the July–June period.
The downturn was driven largely by a slowdown in the construction sector, which dampened cement demand. Other major sectors also contributed to the overall contraction, including non-metallic minerals, iron and steel products, electrical equipment, and machinery.
Despite the overall decline, some industries posted gains, with automobiles surging 46.15 per cent, other transport equipment up 36.60 per cent, and wearing apparel expanding 5.70 per cent YoY.
The continued weakness in construction activity, however, weighed heavily on Pakistan’s cement industry, underlining the sector’s close linkage to infrastructure and real estate development.
By Abdul Ram Siddiqi, Pakistan
